Timothy Bolot, Chief Restructuring Officer (“CRO”), Jul 05 – Feb 06

• Large London primary health care trust responsible for commissioning and providing healthcare services to a population of 300,000 people.
• Directly controlled cost base of £85m with 1,400 FTE staff employed across multiple locations. Major activities include operation of Queen Mary’s Hospital, provision of community based health services (district nursing; health visiting) and therapies and support
• In FY04/05 (year prior to intervention), “trading loss” of £8m incurred. Weak credibility with key stakeholder (the Strategic Health Authority)
• Timothy Bolot of Bolt Partners retained in FY05/06 to act as CRO (Chief Restructuring Officer). Objectives: (i) To develop recovery plan (ii) To work with management team to commence delivering plan

Detailed “Recovery Plan” developed over 2 month period in Summer 2005 with annualised target savings of £6m. Key initiatives:

• Organisational restructuring eliminating duplication of processes and functions as well as non-core activities. Reduction of 100 FTE resulting in savings of £4m
• Review of non-pay spend and implementation of tighter spending controls. Resulting saving £2m
• Over following 6 months, set up and commenced delivery of plan. Drafted consultation paper with staff and worked through with unions and management; worked with executives and non executives to deliver

Significant financial turnaround achieved. Loss eliminated

Credibility restored with SHA as well as Non Executive Board